Short-Term Rental Regulations
in Fayette County, KY

Airbnb listings are allowed in Fayette County, KY, but with restrictions. STRs are categorized as Hosted (primary resident present) or Un-Hosted. In rural/agricultural zones, un-hosted STRs require a conditional-use permit, a 500-foot to 1-mile buffer from other STRs, and Health Department septic approval; occupancy is generally limited to two people per bedroom. A permit is required before you can host. These rules apply to all short-term rental platforms (Airbnb, Vrbo, Booking.com, etc.) — not just Airbnb specifically. See the official source linked on this page for full requirements. Last verified 2026-05-14.

STRs are categorized as Hosted (primary resident present) or Un-Hosted. In rural/agricultural zones, un-hosted STRs require a conditional-use permit, a 500-foot to 1-mile buffer from other STRs, and Health Department septic approval; occupancy is generally limited to two people per bedroom.

Yes, a permit is required to operate a short-term rental in Fayette County. 1) Obtain a Zoning Compliance Permit by submitting a verification form to the Division of Planning. 2) Apply for a Short-Term Rental Special Fee License via str.lexingtonky.gov, providing a business license, $1M liability insurance, and site/floor plans. Licenses must be renewed annually.

1) Obtain a Zoning Compliance Permit by submitting a verification form to the Division of Planning. 2) Apply for a Short-Term Rental Special Fee License via str.lexingtonky.gov, providing a business license, $1M liability insurance, and site/floor plans. Licenses must be renewed annually.

Vrbo is permitted in Fayette County, KY under the same restrictions that apply to Airbnb — local rules govern the rental itself, not the specific platform. You must hold a valid permit before hosting on Vrbo. Last verified 2026-05-14.

Short-term rental hosts in Fayette County are typically responsible for lodging, occupancy, and applicable sales taxes — these usually apply even where hosting is allowed without a permit. Rates and remittance rules vary by jurisdiction (state, county, and city can each levy a share); confirm the current rates with the official source linked on this page. Platforms such as Airbnb and Vrbo collect some taxes automatically, but the host remains liable for any not collected on their behalf.

We are not currently tracking any recent short-term rental ordinance changes for Fayette County. STR rules change frequently — verify the current requirements with the city or county before listing, using the official source linked on this page.